Date: |
19-04-2007
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Notification No: |
Central Excise Circular No 849/2007
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Issuing Authority: |
Central Excise
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Type: |
Circular
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File No: |
F.No.201/51/2004-CX-6 |
Subject: |
Guidelines in respect of publication of names under section 37E of the Central Excise Act, 1944.
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Circular No.849/07/2007-CX
F.No.201/51/2004-CX-6
Government of India
Ministry of Finance
Department of Revenue
Central Board of Excise & Customs
New Delhi dated the April 19, 2007
Subject: Guidelines in respect of publication of names under section 37E of the
Central Excise Act, 1944.
- Attention is invited to the Taxation Laws (Amendment) Act, 2006 wherein section
37E has been inserted in the Central Excise Act, 1944. This provision empowers
the Central Government to publish information relating to the names of the
assessees or any other particulars relating to any proceedings or prosecution
under the Central Excise Act, 1944 in respect of such persons, if it is
considered necessary and expedient in the public interest to do so. However,
adequate restriction has been provided so that the particulars in relation to
any penalty are not published until the time for presenting an appeal has
expired without an appeal having been presented or the appeal, if presented, has
been disposed of. The names of the partners of a firm, directors, managing
agents, secretaries and treasurers or managers of the company or the members of
the association can be published if the circumstances of the case justify it.
This provision is in line with the similar provisions existing in Section 287 of
the Income Tax Act, 1961.
- Since the power to publish names or particulars of proceedings, etc., is with
the Central Government, following guidelines are laid down regarding the type of
cases to be covered in Section 37E of the Central Excise Act, 1944 and the
manner/procedure for publication of names;
- Publication of information would be resorted to
only in respect of offence cases wherein the excise duty liability is
Rs.1 Crore or more. However, in cases of repeat offences, and in cases
involving collection of an amount representing duty/tax but not
deposited to the Central Government under sections 11D of Central Excise
Act, 1944, the duty liability limit would be Rs.25 lakhs.
- The cases should have material evidence to show
that fraud, collusion, wilful mis-statement or suppression of facts has
been committed with an intent to evade payment of duty/tax.
- Such publication of information should be
necessary or expedient in public interest.
- In case, of publication of information pertaining
to penalty, the same should be done only after the period for filing
appeal before the Commissioner (Appeals) or CESTAT is either over or
such appeal has been disposed of.
- In case publication relates to association of
persons (i.e. firm, company etc.,) the names of their officials (like
partners, directors) can also be published if there are justifying
circumstances for doing so.
- The jurisdictional Commissioner or the ADGs of
DGCEI zonal units should send the proposal giving full details of the
nature of offence, amount of duty, credit, refund or rebate involved and
role played by each person whose name or other particulars are proposed
to be published, to the Chief Commissioner or the Director General of
Central Excise Intelligence as the case may be.
- The Chief Commissioner or the Director General
(Central Excise Intelligence), as the case may be, should examine the
proposal and forward the same with his or her comments giving
justification for its publication to the Committee that has been set up
by the Board in this regard. The Chief Commissioner (TAR) will be the
convenor of the committee comprising Director General (DGRI) and the
Director General(DGCEI). This committee will scrutinize all the
proposals and send its recommendations to Member (Central Excise) within
30 days of receipt of the proposal. Thereafter, the Central Board of
Excise and Customs may recommend the publication of such names to the
Central Government.
- The Board, on receipt of approval of the Central
Government, will communicate the same to the concerned Chief
Commissioner or Director General, as the case may be, for taking
necessary action. The publication of names may be made in the print
media, electronic or any other media of mass communication.
- It is, however, clarified that these provisions are stringent in nature
and may affect the reputation of a person. Therefore, these should be used
sparingly, with due care and caution. At the same time, it has also to be
ensured that in deserving cases, they are, infact used, and that there is no
arbitrary selection in their implementation.
- Receipt of the Circular may be acknowledged.
- Hindi version will follow.
(Rahul Nangare)
Under Secretary to the Government of Indiabr
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